NBA Proposes Expanding NBA Teams For The 2020-21 Season
The NBA lost billions of dollars in revenue last year due to the COVID-19 pandemic. To make up for the loss, the league suggested expanding the teams, adding two more at a $2.5 billion expansion fee.
At press time, each franchise would reportedly need a $166.7 million infusion of cash to help offset all of the revenue lost during the current pandemic this year. The overall $5 billion increase would be roughly 58% of what the league took in during the 2018-19 season. Unfortunately, it comes with no associated short-term costs. Players wouldn’t get a cut. To solve this problem, the NBA suggested expanding this season’s lineup of teams. In turn, this brings in newer elements to the league, player opportunities, competition, and even the betting side of the NBA.
Commissioner Adam Silver already acknowledged the possibility of the expansion. If the NBA implemented it, let’s take a look at the possible on-court issues that may arise.
The Eastern and Western Conferences both need to have a leveled playing field. Specifically, the same number of teams need to play in each of the divisions. With the expansion, the NBA needs to consider which markets need the expansion slots. Favoritism would play a big role here, as fans consider Seattle and Las Vegas as current favorites. That might be a problem and may cause imbalance.
For the 2020-2021 NBA season, teams play 82 games against an only partially defined set of opponents. Generally, they always play 30 interconference matchups with two teams against each opponent. That leaves 52 games. Adding two teams in the lineup would make the format impossible to achieve. The expansion would add five games to every team’s schedule. If that’s the case, the NBA would have to come up with a new format and schedule as well.
Since the league is constantly negotiating player salaries and adding new sources of revenue, the new CBA agreement under the expansion changes the factors on which salary caps are based. The expansion will certainly lower the salary cap. The current cap is determined by projecting the following season’s revenue and dividing it by the total percentage allocated for the salary cap among the existing teams in the season (approximately 40%). Dividing it by 32 teams will result in a smaller salary cap.